7/28/2019 PTCL.docx
1/13
PAKISTAN TELECOMMUNICATION COMPANYLIMITED-PTCL
(The Organizations Analysis)
Submitted to: Miss Umara RanaSubmitted by: Nauman Feroz 2083286
Asghar Raza
7/28/2019 PTCL.docx
2/13
Pg|2
Table of contents Introduction
Nature of the business
Mission statement Vision Statement
Core Values
Objectives & goals
Scope of the Company
Culture of PTCL
Organizational Management Cycle
Motivation of employees by upper Level Management
Organizational Structure
Recommendations and suggestions
7/28/2019 PTCL.docx
3/13
Pg|3
INTRODUCTION OF TELECOM INDUSTRY
Since the independence of Pakistan, basic telecom services were being provided by a monopolist,
previously called as Telephone and Telegraph department (T&T). The department was being run by the
government and played multiple roles as regulator, policy maker, operator and service provider in thecountry. The T & T department was later converted into a corporation. Although the corporation was
earning huge profits from the services, it was re-investing the same profits into the sector for the
provision of more telecom service but the investment was not enough. Further, with the technological
advancement, more and more telecom services were becoming available but there was not enough
money available with the corporation to install new telecom systems for the provision of modern services.
Resultantly, a digital divide prevailed in Pakistan keeping it behind its neighbors and other comparable
countries in terms of telecom access. Cellular mobile services in Pakistan commenced in 90s when two
cellular mobile telephone licenses were awarded to Paktel and PakCom (Instaphone) for provision of
cellular mobile telephony in Pakistan. Currently there are six cellular players in the market. The Telecom
Sector has contributed 2 percent towards the overall GDP growth with revenues of over PKR 235bn.
PTCL PAKISTAN TELECOMMUNICATION COMPANY LIMITED
Introduction
PTCL is the largest telecommunications provider in Pakistan. PTCL also continues to be the largest
CDMA operator in the country with 0.8 million V-fone customers. The company maintains a leading
position in Pakistan as an infrastructure provider to other telecom operators and corporate customers of
the country. It has the potential to be an instrumental agent in Pakistans economic growth. PTCL has
laid an Optical Fiber Access Network in the major metropolitan centers of Pakistan and local loop
services have started to be modernized and upgraded from copper to an optical network. On the Long
Distance and International infrastructure side, the capacity of two SEA-ME-WE submarine cables is
being expanded to meet the increasing demand of International traffic. With the promulgation of
Telecommunication (Re-Organization) Act 1996, the Pakistan Telecommunication Authority was
established as the Telecom Regulatory body. Following the open licensing policy in BUY @ PKR 45.40
accordance with the instructions of Government of Pakistan and in exercise of powers conferred by
Pakistan Telecommunication (Re-Organization) Act 1996, the basic telephony was put under exclusivity
and PTCL was given a seven years monopoly over basic telephony which ended by December 31, 2002.
The year 2006-07 in the telecom sector witnessed a phenomenal growth in the mobile phone sector in
Pakistan, which doubled its subscriber base to 60 million. The Tele density increased from 26% to 40%,
helping to spread the benefits of communication technology across the country. PTCL's mobile phone
subsidiary Ufone's subscriber base grew by more than 87%, from 7.49 million to 14 million. The year alsowitnessed the entry of major telecom companies, most notably China Telecom and SingTel, into the
market. Restructuring and re-engineering are in their final stages along with the implementation of ERP
system. From the end customer's perspective, a major initiative was put in place in the shape of
'Broadband Pakistan' service launch as a first step towards providing its customer with more value added
service and convenience. With this offering, the PTCL not only bringing the benefit of high speed Internet
access to subscribers in major cities but will also generate new revenue streams for future growth. The
7/28/2019 PTCL.docx
4/13
Pg|4
company also continued to invest in infrastructure development and addition of network capacity with a
view to enhance services and to expand its reach across the country.
Nature of the business:
PTCL is a telecom company and is providing infrastructure to other telecom operators and corporatecustomers of Pakistan.
Mission statement
To be the leading Information and Communication Technology Service Provider in the region by
achieving customer satisfaction and maximizing shareholders value
The future is unfolding around us. In times to come, we will be the link that allows global communication.
We are striving towards mobilizing the world for the future. By becoming partners in innovation, we are
ready to shape a future that offers telecom services that bring us closer.
The mission of PTCL is to achieve our vision by having:
An organizational environment that fosters professionalism, motivation and quality
An environment that is cost effective and quality conscious
Services that are based on the most optimum technology
"Quality" and "Time" conscious customer service
Sustained growth in earnings and profitability
Vision Statement
To be the leading ICT Service provider in the region by achieving customers satisfaction and maximizing
shareholders value.
Core Values
Professional Integrity
Customer Satisfaction
Teamwork
Company Loyalty
Corporate Culture
Objectives of the Company
Objectives & goals
The primary objective of Pakistan Telecommunication Company Limited is to provide telecommunication
services to the people in the country or in short to satisfy the telecommunication needs of its customers.
Responding to the rapid economic and technological growth, the company is determined to meet the
challenge of expanding needs of telephone and data communication such as public data network,
7/28/2019 PTCL.docx
5/13
Pg|5
integrated services digital network and Internet services. The major focus of attention is to improve and
expand the services, minimize the faults and provide communication facilities to rural areas. It is also one
of the major objectives of management that the company should not improve its performance but also
encourages the private sector to enter the Tele business. The company has entered the domain of free
market economy, which necessitates the liberal management policies and private sector. The followingbasic policy steps have been taken to meet the objectives laid in PTCL Act to expand and operate
telecommunication services in the country. The main objective of any company is to earn the profit and
minimize expenses by winning goodwill in the market. The objectives can be divided into two phases:
Financial Objectives
Marketing Objectives
The following are the long-term objectives of the organization:
Telecom services all over the country.
Plan, establish and maintain telecommunication
Acquire, promote and manage research and development , transfer of technology and software
development including manufacturing of telecommunication equipment and plant
Enhance efficiency, improve quality and expand the system to meet customs satisfaction and
provide service on demand.
Create congenial climate for binding of human skill and horizon of employees through training
and education.
Convert its cash basis single entry accounting system to accrual basis double entry system
meeting the commercial international accounting standards.
Launch consumer satisfaction survey.
To introduce computerized directory assistance and complaint services reform billing and a
revenue collection system. Strengthen relation with foreign international administration, entities, services providers,
international and regional telecom organizations for better international communication and
technical cooperation in telecommunication business.
Expand customer awareness of all value-added services of PTCL.
To improve the efficiency of Customer Service Centers by deputing qualified persons who are
well aware of public relation techniques.
To introduce new services of audio Tex and video conferencing for the business community.
Scope of the Company:
PTCL has expanded its business through the following products and services:
PTCL Landline
Since the deregulation of the telecom sector, a large number of foreign investors opted for
licenses in LL, LDI and cellular operations, identifying Pakistan as an emerging market. Investors entered
7/28/2019 PTCL.docx
6/13
Pg|6
the market forcefully in the cellular segment, introducing heated competition for PTCL. In this situation
PTCL's counter strategy for landline service, during the year 2007-08 was aimed to increase ARPU,
acquire new subscribers and contain churn.
To increase operations, PTCL shifted from its conventional duration based charging system to value
based options, like 'Pakistan Package' that offered 5,000 minutes for on-net nationwide calls at Rs.
199/month. PTCL also launched 'International Plus' package to facilitate cost effective international calls
at unmatchable rates alongside offering Voice messaging and Phone n Net services, adding more value
to the landline service. To increase customers' base, 'order on phone' was introduced, allowing customer
to apply for a new connection by simply calling 0800-80800.To tackle the churn PTCL established an
outbound call center to reach out to potential customers with an objective to attain higher level of brand
loyalty.
PTCL V-Fone
PTCL V-Fone (WLL Service) was another major area of focus for PTCL during the year.
A few prominent measures taken in this area during the year were launching of free home delivery
service. No line rent package was launched in September 2007. In June 2008, 30 seconds billing was
introduced contributing as an effective customer retention tool. PTCL has expanded the network to
provide coverage in all large and small cities including over 10,000 villages in rural areas of Pakistan.
As Vfone becomes the Wireless substitute to landline in un-served areas, it will be a robust line for voice,
data and fax services for use at home and in the office. In business markets it will be positioned as the
CDMA tellular extension to add trunk lines to the ever expanding business PABXs. Vfone will be
spearheading the launch of the new post pay and pre-pay tariffs with no line-rent to meet the market
demand. The tariff will include new post-pay unlimited local and nationwide calling packages to bringtraffic back to PTCLs networks to stabilize the revenues. After the initial launch, the Company aims to
retain the momentum by offering different bundled packages for voice to increase the subscriber base;
including specifically targeting the rural areas where copper infrastructure does not exist. On Wireless
broadband front, a major upgrade of PTCL WLL CDMA network is underway to provide Wireless
broadband services in 17 major cities by end 2007. Currently technical trial is in progress which will be
followed by a pilot project on WiMax technology. This will enable PTCL to maintain its competitive edge.
Ufone
(Pakistan Telecom Mobile Ltd) a wholly-owned subsidiary of PTCL commenced itsoperations on 29th January 2001 as a GSM 900 service provider. Since the outset, it has expanded its
coverage and customer base at a rapid pace and established itself as one of the leading cellular service
providers in Pakistan. Ufone is now considered to be one of the most active, aggressive and innovative
players in the mobile sector of Pakistan.
The growth of the cellular industry is a direct result of the successful implementation of the telecom
deregulation and cellular mobile policy by the Ministry of IT and Telecommunications (MOIT&T) and the
7/28/2019 PTCL.docx
7/13
Pg|7
support, guidance and timely enforcement of regulatory process by the Pakistan Telecommunication
Authority (PTA).
Ufone's operational performance has been very encouraging despite stiff competition in Pakistan
telecom market which has led to reduction of prices to bare minimum level. Ufone managed to improve
its revenue and operating profit by 35% and 47% respectively, as compared to the last year through
aggressive policies and exercising strict control over expenses.
Paknet Limited
Paknet was incorporated in year 2000 for providing internet related services in the country
is being wound up. However, PTCL has developed its own voice, data and video infrastructure and
services. Paknet's operations have been closed and liquidator appointed for completing the formalities
involving the company closure. All customers, assets, liabilities and capital stand transferred to PTCL in
accordance with the special resolution passed in General Meetings.
PTCL Broadband
The first major product initiative taken towards a changing PTCL during the year 2006-
07, was the launch of PTCLs Broadband service under the theme of Broadband Pakistan by the Prim e
Minister of Pakistan. The service was launched on PTCLs new state of the art Broadband infrastructure
that was added to our network during the last three quarters of 2007 with the initial capacity of over
100,000 subscribers.
PTCL achieved unprecedented success as it added over 10,000 customers within the first 120days of its
launch while historically it had taken four years collectively for all the other operators to achieve 30,000customers in Pakistan! The hallmark of PTCL service was the removal of the traditional barriers such as
the upfront costs of installation and customer premises equipment and added bandwidth download. This
high customer take up also reflected on the Companys trusted image in the eyes of the nation. The
service is already available in the five largest cities of Pakistan and will be expanded into another dozen
cities during the coming year.
Smart Services
In March 2008, PTCL introduced a trial service that put PTCL on the path of a paradigm
shift. Branded under 'PTCL Smart Line; the service included Interactive Television, Broadband and voice
Telephony all at the same time on PTCL's telephone line. The 'Smart TV', for the first time offered TV
viewers the power to control the TV channels interactively. This included the ability to rewind and pause
live TV channels, block / unblock any TV channel for parental lock and search through video on demand
content. The Commercial launch of the PTCL Smart Line services across the three largest cities in
Pakistan was arranged on the 14th of August 2008 which will be expanded to the other cities during the
course of the year.
7/28/2019 PTCL.docx
8/13
Pg|8
Culture of PTCL
Attention to detail:
PTCL employees do work at their best. They always do their work in detail in order to maintain their
organization best of best among the tele-communicative organizations.
People orientated:
PTCL organization is people orientated organization. They always concentrate on their employees.
They say that if their employees are satisfied then it will increase their organization production.
Team orientated:
PTCL employees prefer in team work. They according to them team work is better than individual.
Aggressiveness:
PTCL employees are aggressive and competitive rather than co-operative.
Stability:
PTCL top management decisions and actions emphasize on the employees to maintain their status
and work hard to get goals.
Innovation and Risk taking:
PTCL top management always encouraged their employees to be innovative and takes risk.
PTCL employees donate One-Day salary for IDPs:
PTCL employees have contributed their one day salary that amounts Rs. 20million for the support of
internally displaced people of Swat and other affected areas.
CEO and President of PTCL Mr. Walid Irshaid called on Prime Minister Syed Yousuf Raza Gilani at
PMs House and presented him a cheque of Rs. 20 million on behalf of PTCL employees for PMs
Special Fund for the Relief of Victims of Terrorism
PTCL Management issued Revised Statement of Ethics and Personal Information Form
With a view to bringing more clarity about the company rules and corporate values, a Statement of
Ethics was circulated among employees having the following broader objectives:
a. Bringing a healthy and friendly relationship with employees based on their respect and dignity.
7/28/2019 PTCL.docx
9/13
Pg|9
b. Introducing the culture of in-discrimination and fair practices
c. Providing better working environment to our employees.
d. Creating awareness of the practices which are beneficial for them or otherwise.
e. Up-dation of record.
This is a normal practice which has been implemented in many good organizations and has brought
positive results. However it has come to our knowledge that some doubts and ambiguity have been
created among employees which is not the purpose of this exercise. PTCL always believe that they must
be open and fair with our employees and dont believe in any hidden agenda. They also dont want to
create any fear or feeling of insecurity in the company.
In order to remove any doubt, fear or ambiguity, the Statement has been made more clear and simple. It
has further been decided that the signatures of the employees will not be required on this Statement;
however they should read and follow the Ethical values to bring the culture of hard work, honesty, andmerit in PTCL. Only personal Information Form may be updated.
Organizational Management Cycle
7/28/2019 PTCL.docx
10/13
Pg|10
The cycle above describes the Organizational Management process at PTCL. Yellow blocks describe the
core functions of the Company performed at all levels in the Organization. Blue Blocks are the Strategic
functions which are performed at the Strategic level only.
Cultural/ Workforce Diversity in PTCL
A workforce is considered diverse if it has people of race, color, religion, national origin, gender,
disabilities, physical appearance, sexual orientation, marital status, culture or ethnic group. The most
important global challenged faced by corporate leaders, HR managers and managing consultants is the
successful management of todays increasingly diverse workforce.
PTCL is one of the largest companies in the country with nationwide services. Pakistan like all other
countries has many employment laws enforced to ensure any kind of discrimination is not done against
any specific group. PTCL is also employing people from all over the country. But like any othergovernment organizations PTCL is also facing conflicts among the staff because of nepotism, biasness,
stereotyping and other problems associated with diversity. To address these problems and reap full
benefits of diversity PTCL needs to take a few very important steps. Like training is very important at
managerial as well as all other positions. People need to be properly educated regarding the importance
and benefits of diversity. There interpersonal skills need to be enhanced and supportive environment
needs to be created where constructive criticism and merit is promoted. Thus, these things along with
tolerance for others values can create a very productive environment.
7/28/2019 PTCL.docx
11/13
Pg|11
After the takeover of PTCLs management rights by Etisalat, a UAE telecommunication giant, things
never seemed normal as the huge workforce of PTCL, who were enjoying government jobs for long,
were struck with job insecurity suddenly. Eventually, they all came on roads and protested against the
privatization of PTCL but to no avail as Etisalat was in no mood to quit the venture. Now, Etisalat has
many challenges to face, biggest of all is the bureaucratic environment of PTCL, including many others.Since PTCL has network and infrastructures all over the country therefore, having a diversified workforce
can solve a lot of problems and it doesnt seem to be a bad approach at all, keeping in view the current
position of the organization
PTCL is encouraging workforce diversity and they are introducing quota systems like:
Special persons {disable}
Females
Old employees
Motivation of employees by upper Level ManagementAccording to Mr. Dolat since the company has to rely on shift work they know that the work performed
makes tributes on the employees and their motivation. PTCL have recognized some very common
motivational factors such as salary, working hours and benefits.
According to manager Mr. Mansoor explains that the salary of the workers is controlled by collective
agreements, but PTCL has chosen to pay a salary that is ten percentages higher than the collective
agreement as a way to motivate their employees since they know that the work is very demanding.
Attempts have been made to improve the shift hours and the company welcomes ideas from employees
in order to make improvement of work hours.
PTCL wants to engage their employees in health activities, but it is a small number that participate in
these activities. PTCL has recognized that good salaries and working schedules are two important
motivational factors and the company wants to work with their employees and is very open to
suggestions from coworkers for improving matters and the company would like the employees to be able
to influence their own working environment.
Director Mr. Dolat states that it is very easy for leaders to form an opinion of a certain group. Not all
young people entering the work force want to have challenges, but it is very easy to judge the entire
group as a unity. Managers at PTCL makes attempt to talk and recognize people who want to work in
projects and improve work place. The psychological work environment is considered to be good at PTCL,
which includes friends, coffee breaks, parties, gifts, etc.
The physical environment still needs improvements. Having fun at work is also very important. Leaders
are there to support the fun activities that already exist at work and make them even more stable and
PTCL has improved well in this area, but in the end it is all up to the individual, each individual is
different, but having respect for others as well as for general human values is an important factor. It is
important to be respected, respect others and an individual that can show consideration, be present and
be confident in one self can be generous with others. When recruiting personnel PTCL looks for
7/28/2019 PTCL.docx
12/13
Pg|12
managers with the above characteristics. If a leader has self awareness as well as formal knowledge it
might be a good leader for the company.
Motivation and gender at PTCL
Managing employees is a very important task a manager performs and the relationship betweenmanager and employee can be considered a motivational factor. When managers are motivated
themselves they are better suited at motivating their employees as well although the companies lack
knowledge and experience in the area of motivation the respondents were highly competent. The both
wished to improve themselves, but still they seemed a bit afraid of changes, but they wanted to know
how to progress their performance and worked very hard with this issue. Today it appears that feedback
has gained presence in organizations and the daily feedback has greater importance than having
employee conversations each year. Autonomy is also very important since it allows the flexibility to
balance work and life and this aspect is even more important for the new generation. Workforce diversity
has increased the problems for the management. Nowadays women are working side by side men in
almost every field. The motivational tools used for women are slightly different from those used for male
employees. The managers shall ensure workplace safety for the female employees and also healthy
working environment shall be made available to them. Managers need to understand the psychology of
their female employees to motivate them well.
Organizational Structure
Decentralization
Al though government of Pakis tan st il l ho lds a major it y of share in PTCL but the new
leadership has opted to decentralize the operation to a greater extent in comparison to the
previous. The new management decentralized certain decision to regional /exchange level
such as, DSL l ink approving the authority of another ISP , To we r us ag e permission by otherISPs, approval of new connections, lesser documentation.
W i d e r S p a n o f C o n t r o lSpan of control has been widened for functions such as fields installation, customersupport, exchange operation, etc. Instead of creating redundant managerial levels, a teamleader approach is adopted where required .For example PTCL has reduced number of Gmpositions by appointing only a single regional GM for a particular department.
Less Depar tmenta l iza t ionW i t h t h e w i d e n i n g o f s p a n o f c o n t r o l , t h e departmentalization has also been reduced.
Less Formal iza t ion
Th e mo s t imp o r t a n t a sp e c t o f t h i s re -s t ru c tu r i ng wa s L e ss in g o f f o rma l i za t i o n i nPTCL. Unnecessary ru les , p roducer s documentations, verifications, and approvals wereeliminated in order to cut the red tape and serve customers efficiently and effectively
Recommendations and suggestions
7/28/2019 PTCL.docx
13/13
Pg|13
Major recommendations are:
1. PTCL should improve their contact with middle & lower level employees especially
supervisory level and establish internal performance appraisal system to avoid the future
complications and to evaluate the employee performance and encouraging them.
2. Due to the potential economic problems of the country and the industry employees should be
aware of that the organization will acquire them to work harder. Managers have to
communicate that the company is dependent on the workers and their dedication to
excellence in every aspect of their work
3. The organization has to have close relationships with managers and key employees to
establish a plan for attaining increased excellence in every department. The plan could
include special financial incentives or perks, employee recognition awards and employee
training. Motivating the staff and have them working together will help them focus on what is
important, continue doing a great job.
4. Before organizing and establishing a plan, the manager has to learn all there is about
employee motivation. Focus on processes that help to enhance the involvement of employeesat the company and inspire feelings of responsibility for the company's overall success.
5. Managers should set up employee suggestion systems, focusing on the topic "How to
increase productivity to offset an economic slowdown." Employees are the ones that conduct
work tasks on a routine basis and therefore they are the best to suggest improvements and
help the company survive hard times.
6. The organization has to encourage managers to step to the front lines and become as
pragmatically involved in the day-to-day operations of the business as possible. Many
managers view themselves as being somewhat better than other employees and this
viewpoint can be disastrous during difficult financial periods.
7. Managers should be creative and encourage creativity among employees in the organization.
Search for ways to improve processes and performance so it might become cheaper, faster
and more efficiently.
References
1. Mr. Dolat Nazi r, Director (PTCL office near social security hospital.)2. Mr. Mansoor, (supervisor)3. www.google.com4. www.google.com5. Companys website -www.ptcl.com.pk6. PTA reports
http://www.ptcl.com.pk/http://www.ptcl.com.pk/http://www.ptcl.com.pk/http://www.ptcl.com.pk/